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DCF Valuation
Base-case fair value
$15.64
Intrinsic $20.85 · 25% MOS
Current price: $16.46
Base-case summary
Our base-case DCF for Nortech Systems Inc (NSYS) projects 10 years of free cash flow growth at 3.6% for years 1–5 and 1.8% for years 6–10, anchored to 3.6% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $3M in trailing free cash flow, this produces an intrinsic value of $20.85 per share. A 25% safety margin gives a fair value of $15.64, suggesting the stock is currently 5% overvalued against the $16.46 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$3M
Cash & equivalents
$2M
Total debt
$11M
Shares outstanding
3M